Budget deficit topped $1T in ’19 for the first time since ’12
WASHINGTON — The federal budget deficit surpassed $1 trillion in 2019, the Treasury Department reported Monday, as tax cuts and spending increases continued to force heavy government borrowing amid a record-long economic expansion.
The deficit grew by 17% from 2018 to 2019, the Treasury data shows. That was a slowdown from the 28% growth in 2018, the first year President Donald Trump’s signature tax cuts were in full effect.
It was the first calendar year since 2012 that the deficit topped $1 trillion. Deficits swelled after the 2008 financial crisis, as lawmakers cut taxes and increased spending in an effort to revive growth. The gap had narrowed through 2015 under a budget agreement between President Barack Obama and Republicans in Congress, which reined in federal spending.